PNB on Friday reported a standalone web revenue of Rs 5,532 crore for the July-September quarter of the continuing monetary 12 months 2027, marking round a 13% year-on-year improve from the Rs 4,904 crore web revenue reported within the corresponding quarter of the earlier monetary 12 months.
The general public lender’s web curiosity revenue (NII), which is the distinction between curiosity earned and curiosity expended, rose round 11% YoY to Rs 11,601 crore in Q2 FY27, from Rs 10,469 crore within the year-ago interval. Asset high quality improved with gross non performing belongings (GNPA) ratio dropping 90 foundation factors to 2.55% and web NPA ratio falling 11 bps to 0.25% in the course of the quarter underneath evaluate.
The corporate’s working revenue elevated 4% YoY to Rs 7,532 crore, whereas return on belongings (RoA) stood at 1.05%.
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Jefferies on PNB share worth
Jefferies has a ‘Purchase’ name on the shares of PNB, and elevated its goal worth to Rs 140 apiece, implying greater than 20% upside potential from the inventory’s earlier closing worth of Rs 116 apiece on NSE.
The worldwide brokerage famous that the corporate’s revenue was forward of estimates with higher NII, greater treasury & decrease provisions, that offset greater opex. Key constructive was rise in NIMs, reflecting enhancing high quality of deposits (decrease share of bulk-deposits) & loans (decrease share of IBPC). Asset high quality traits are steady with excessive protection. “We increase estimates for higher NIMs given the speed hikes,” it added.
Motilal Oswal on PNB share worth
Motilal Oswal additionally maintained its ‘Purchase’ score on the shares of PNB, and elevated its goal worth to Rs 140 apiece. It additionally raised its earnings estimates for the lender.
The home brokerage additionally famous that the corporate’s web revenue was greater than its estimates, pushed by decrease provisions and different revenue. “PNB reported a robust quarter, with earnings beat led by managed provisions and opex, whereas margins expanded 8bp QoQ. Provisions got here in decrease, reflecting robust asset high quality, at the same time as they created further customary asset provisions to facilitate a smoother transition to ECL. Asset high quality traits remained wholesome, with marginal uptick in slippages pushed by a single infrastructure company account and no vital stress elsewhere within the portfolio. Administration guided for RoA of >1% and credit score value of 0.25–0.30%,” it mentioned.
JM Monetary on PNB share worth
JM Monetary upgraded its score on the shares of PNB to ‘Purchase’ from ‘Add’, and raised its goal worth to Rs 140 apiece, from Rs 120 apiece. The home brokerage famous that the corporate reported a sturdy quarter with the best ever RoA of 1.09% and PAT development of 13% YoY, beating its estimate by 8%. That is pushed by NIM growth, 24% YoY price revenue development and negligible credit score value (simply 3 bps).
Sequential NIM growth was supported by decrease funding prices, phasing out of low-yielding IBPC/company exposures and steadiness sheet optimisation. Mortgage development remained wholesome at 16% YoY as advances combine continued to shift in the direction of RAM. Administration reiterated confidence in additional margin enchancment of seven–9bps in coming quarters, led by repricing repo rate-linked guide and steady value of fund, the brokerage famous.
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